As global dispute resolution methods grow increasingly complex, parties continue to turn to alternative dispute resolution (ADR) methods to resolve disputes more quickly, cost-effectively, and impartially. The 2023 data reveal a marked increase in demand for ADR solutions, both locally and globally, indicating substantial growth in this field. Regularly published reports from ADR providers worldwide play a crucial role in understanding the sector’s trajectory and guiding future strategies.
One such report comes from JAMS, a prominent ADR provider operating internationally, which recently released its 2023 Global Statistics Report. This report not only provides insights into the data of a single organization but also offers important perspectives on global ADR trends and the future direction of the industry. This data highlights the latest trends in digital transformation, hybrid solutions, and sectoral diversification in achieving effective dispute resolution.
Why is Demand for ADR Services Increasing?
The 2023 data indicate a 7% increase in demand for ADR solutions. This global growth is driven by several key factors:
- Global Economic Uncertainties and Supply Chain Crises: Commercial and financial disputes have become increasingly complex due to supply chain disruptions and geopolitical risks. With the rise in cross-border trade, the need to resolve disputes quickly and reliably is also growing.
- Rapid Technological Advancements: The fast-paced development of technologies like artificial intelligence (AI) and smart contracts has created a demand for expert, impartial ADR services in resolving disputes arising from these new technologies. Issues such as algorithmic accountability and transparency particularly highlight the need for specialized solutions in this field.
- Shift Towards Multi-Mode Dispute Resolution Models: Hybrid ADR models that incorporate both in-person and virtual processes provide flexible, accessible solutions to global disputes. The adoption of this model is enhancing participation and saving time for all parties involved.
Key Global ADR Trends in 2023
- Hybrid and Virtual ADR Models: Throughout 2023, a significant portion of international disputes were resolved through virtual or hybrid processes. Hybrid solutions, which enable both in-person meetings and remote participation, increase the flexibility of ADR processes. This trend shows that digitalization in ADR has become a permanent feature, even in the post-pandemic period.
- AI-Based Dispute Resolution Solutions: The rapid advancement of artificial intelligence has underscored the importance of developing specific rules and resolution methods in this area. Guidelines addressing transparency, ethics, and accountability in AI-related disputes represent a new specialization within ADR. For markets like Turkey, following these trends and developing local solutions is essential.
Global data suggest that ADR services will become increasingly digitalized in the future and that hybrid models will gain broader acceptance. The findings indicate that the expansion of global ADR services will continue, with more flexible, technology-driven solutions coming to the forefront. Analyzing and sharing global trends are part of ADRİstanbul’s mission in the sector, and sharing these developments with the community is our corporate responsibility. With this commitment, we aim to increase our contribution to ADR services and advance ADR practices in Turkey.
The full report is available at this link.